20 unit apartment building with no money down!
I've been in real estate management and investing for 9 years and I have a recent acquisition that I hope will motivate others. I've been sitting on the sidelines too long, it's time to contribute!
I sent out 600 letters to local owners of multifamily properties and had quite a few calls from the letters. Sent them 3 times before I reached the right owner on the right day, where he was just mad enough about landlording to want to sell his property.
20 Unit apartment complex
Purchase Price: $285,000 (approx 15k unit)
30 year amortized loan 5% with a 5 year call (100% owner financing, but he did take a 2nd mortgage on another house I own)
Tax Return NOI average: $32,000 over the last 4 years
Expected NOI after proper management: $50,000
Equity after stabilized: $100,000-$150,000
As purchased the property cash flows around 1k a month with no money down! After the property is stabilized it will net around $2500 a month.
Bonus: There is a back lot that came with the apartment complex and is of no use to the operation of the complex. I have it under contract for $72,500 cash. Pending zoning approval this lot will be sold and I will be able to put some cash into my pocket.
Thanks for reading my deal! I hope this motivates some people that these deals do exist. I can't wait to read some of the comments.
Rob